Monday, December 8, 2008

U.S. Governments (We The Peoples') Economics

Let's get down to reality; Washington politicians know they need cash flow through government coffers to justify their "labor". With this cash, they may pay back the districts they hail from, and reward the voters for their votes. And, vote themselves hefty rewards, such as a raise in pay and benefits.You cannot make SOMETHING out of NOTHING. The entire U.S. economy, as well as most other nations, is constructed, and functions on a debt structure.This is evidenced by the the current Fannie Mae and Freddie Mac failures, and the haste with which the politicians bailed them out.The auto industry is another case of evidence. They are currently THREATENING the government (we the people, actually) with massive revenue losses, and massive job losses. This is not a new situation. It has happened to many other large companies; Eastern Airlines, National Airlines, the Air Traffic Controllers during the Reagon Administration.The auto industry has simply overgrown itself. And since it is not a quasi-governmental organization, such as Freddie Mac, Fannie Mae, or the U.S. Post Office, will have to be more creative to save itself, or suffer the fate of the foregoing companies. I might suggest "creating" an automobile shortage, or creating an auto industry OPEC that will cut back on auto production to maintain auto prices.The auto industry could, and should apply for a loan from the World Bank, which is in walking distance from the Capitol Building. This is how "commerce" functions.Another example of U.S. economics; No more "silver certificate" printed on U.S. currency. Only "In God We Trust". And this is attested to by a couple of signatures; So, if money is your problem here in the good ol' USA, have you talked to God about it?